HMO Mortgage Undervaluations? to still buy or not?

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M

Mediaman

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Hi, Im setting up my first portfolio and presently trying to buy three 7 bed HMOs with students already in situ. Good yields of 9.5% on each. Two of the properties mortgage valuations have come up at 35k under my agreed price, lender is Kent Reliance. The uni area city council im investing in has stopped any further Sui Generis 7+ bed hmos being granted planning so with these ones yields and futire supply /demand for large hmos in future is it worth a punt?I am buying all 3 off same seller but hes dropped prices as far as hes willing. They are great properties and I chose them for yields rather than capital growth but am I being foolish to stump up the additonal money to still get all three even with 2 undervalued? Any help or opinions on this for a new member greatly appreciated!